WallStSmart

Collegium Pharmaceutical Inc (COLL)vsZoetis Inc (ZTS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Zoetis Inc generates 1097% more annual revenue ($9.53B vs $796.33M). ZTS leads profitability with a 28.0% profit margin vs 9.4%. ZTS trades at a lower P/E of 13.0x. ZTS earns a higher WallStSmart Score of 66/100 (B-).

COLL

Buy

50

out of 100

Grade: C-

Growth: 5.3Profit: 7.5Value: 7.7Quality: 4.5
Piotroski: 5/9Altman Z: 1.05

ZTS

Strong Buy

66

out of 100

Grade: B-

Growth: 5.3Profit: 10.0Value: 6.0Quality: 7.0
Piotroski: 4/9Altman Z: 3.14
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

COLLUndervalued (+88.3%)

Margin of Safety

+88.3%

Fair Value

$385.32

Current Price

$33.45

$351.87 discount

UndervaluedFair: $385.32Overvalued
ZTSUndervalued (+11.5%)

Margin of Safety

+11.5%

Fair Value

$145.45

Current Price

$75.89

$69.56 discount

UndervaluedFair: $145.45Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

COLL2 strengths · Avg: 8.5/10
Return on EquityProfitability
27.4%9/10

Every $100 of equity generates 27 in profit

P/E RatioValuation
16.8x8/10

Attractively priced relative to earnings

ZTS5 strengths · Avg: 9.4/10
Return on EquityProfitability
81.8%10/10

Every $100 of equity generates 82 in profit

Operating MarginProfitability
36.6%10/10

Strong operational efficiency at 36.6%

Altman Z-ScoreHealth
3.1410/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
28.0%9/10

Keeps 28 of every $100 in revenue as profit

P/E RatioValuation
13.0x8/10

Attractively priced relative to earnings

Areas to Watch

COLL4 concerns · Avg: 2.0/10
Market CapQuality
$1.12B3/10

Smaller company, higher risk/reward

EPS GrowthGrowth
-46.6%2/10

Earnings declined 46.6%

Altman Z-ScoreHealth
1.052/10

Distress zone — elevated risk

Debt/EquityHealth
2.591/10

Elevated debt levels

ZTS4 concerns · Avg: 3.3/10
PEG RatioValuation
1.914/10

Expensive relative to growth rate

Price/BookValuation
9.7x4/10

Trading at 9.7x book value

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

Debt/EquityHealth
2.861/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : COLL

The strongest argument for COLL centers on Return on Equity, P/E Ratio.

Bull Case : ZTS

The strongest argument for ZTS centers on Return on Equity, Operating Margin, Altman Z-Score. Profitability is solid with margins at 28.0% and operating margin at 36.6%.

Bear Case : COLL

The primary concerns for COLL are Market Cap, EPS Growth, Altman Z-Score. Debt-to-equity of 2.59 is elevated, increasing financial risk.

Bear Case : ZTS

The primary concerns for ZTS are PEG Ratio, Price/Book, Revenue Growth. Debt-to-equity of 2.86 is elevated, increasing financial risk.

Key Dynamics to Monitor

COLL carries more volatility with a beta of 0.75 — expect wider price swings.

COLL is growing revenue faster at 8.9% — sustainability is the question.

ZTS generates stronger free cash flow (291M), providing more financial flexibility.

Monitor DRUG MANUFACTURERS - SPECIALTY & GENERIC industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ZTS scores higher overall (66/100 vs 50/100), backed by strong 28.0% margins. COLL offers better value entry with a 88.3% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Collegium Pharmaceutical Inc

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

Collegium Pharmaceutical, Inc., a specialty pharmaceutical company, develops and markets pain management medications. The company is headquartered in Stoughton, Massachusetts.

Zoetis Inc

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

Zoetis Inc. is an American drug company, the world's largest producer of medicine and vaccinations for pets and livestock.

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